Around $27,000 a year for a family. And that's just the entry ticket.
What Is the Average US Health Insurance Premium?
Part of the guide Arriving in the USA: your first 90 days as a checklist
In 2024, US health spending reached $5.3 trillion. That's $15,474 per person and 18.0 percent of the entire economy (CMS, National Health Expenditure Accounts). Huge numbers. So what does your money actually buy you in US health insurance?
Updated August 2026. The figures on this page come from the latest published surveys: CMS National Health Expenditure Accounts (data year 2024), KFF Employer Health Benefits Survey 2025 and KFF Marketplace data for plan year 2026.
Important for 2026: The enhanced ACA subsidies expired on January 1, 2026, and the 400 percent income cap is back. What that means in practice is explained in On January 1, the 400 percent cliff returns.
On this page you'll learn what drives the cost of health care in the USA and what has changed in American health insurance in recent years.
Find the key terms and facts about US health insurance here.
1US health insurance premiums at a glance
- Employer-sponsored family coverage cost an average of $26,993 a year in 2025, and single coverage $9,325 (KFF Employer Health Benefits Survey 2025).
- Premiums vary by age, location and plan.
- Workers paid an average of $6,850 toward family coverage and $1,440 toward single coverage. The employer paid the rest.
- Total health spending is projected to reach $8.6 trillion by 2033, around $24,200 per person (CMS projection).
2Health costs by age and state
Health care costs depend on your age and the state you live in. As you'd expect, younger, healthier adults pay the least for health insurance. But even for them, the cost of coverage varies widely by location.
On the ACA Marketplace, the benchmark premium (the second-cheapest Silver plan) is $625 a month in plan year 2026, up from $497 in 2025. That's a jump of about a quarter in a single year (KFF). The average annual deductible for employer-sponsored single coverage was $1,886 in 2025 (KFF).
Age remains a major factor, but the Affordable Care Act limits the spread: an insurer may charge an older adult no more than three times the premium of a 21-year-old (42 U.S.C. § 300gg). Within that band, the premium rises with every year of age.
3Individual vs. family coverage costs
The Affordable Care Act offers subsidies to make health insurance in the US more affordable. Not everyone qualifies, though.
In employer-sponsored insurance, single coverage cost $9,325 a year in 2025 and family coverage $26,993. On the Marketplace without a subsidy, a 40-year-old pays between $456 and $615 a month in 2026, depending on the tier; for a family, that multiplies with the number of people covered.
| Coverage | Premium | Your share |
|---|---|---|
| Employer, single coverage (2025) | $9,325 a year | $1,440 a year |
| Employer, family coverage (2025) | $26,993 a year | $6,850 a year |
| Marketplace Bronze, age 40 (2026) | $456 a month | all of it, without a subsidy |
| Marketplace Silver, age 40 (2026) | $611 a month | all of it, without a subsidy |
| Marketplace Gold, age 40 (2026) | $615 a month | all of it, without a subsidy |
Source: KFF Employer Health Benefits Survey 2025; KFF, average Marketplace premiums for plan year 2026, lowest-cost plan per tier for a 40-year-old. The figures match those in the text of this page.
4How premiums have changed in recent years
In recent years, health costs in the USA have risen steadily for individuals and families alike. The average annual family premium rose 26 percent between 2020 and 2025; over the same period, wages grew 28.6 percent and overall consumer prices 23.5 percent (KFF 2025).
Health spending keeps climbing. CMS actuaries project $8.6 trillion by 2033, up from $5.3 trillion in 2024. That would put the health sector at more than a fifth of the US economy.
Visa, bank account, taxes and where to live: your move with Mount Bonnell Advisors.
5Understanding tiered coverage
Some health insurers offer tiered coverage, letting customers pick a plan that fits both their medical needs and their budget.
A basic plan comes with higher deductibles and copays, but at a much lower monthly premium. The higher tiers, with low deductibles and little or no coinsurance, are out of reach for many people. Even a basic plan with higher deductibles and copays beats the alternative: having no health insurance at all in the USA.
Here are the average monthly Marketplace premiums for plan year 2026, based on the lowest-cost plan in each tier for a 40-year-old, weighted by actual enrollment (KFF):
- Bronze: $456. Low monthly premiums for essential health services, but a high deductible.
- Silver: $611. More benefits for a higher monthly premium and a lower deductible. The second-cheapest Silver plan is the benchmark used to calculate subsidies.
- Gold: $615. Comprehensive coverage, higher monthly premiums, low out-of-pocket costs.
KFF doesn't publish a national average for catastrophic plans or the Platinum tier. Catastrophic plans are only open to people under 30 or with an approved hardship exemption anyway.
6Tips for choosing the right US health coverage
With costs rising, how can Americans save on health care and health insurance? The answer: diligently compare what's on the market, the different plans and the benefits they include. That way, everyone can find the most comprehensive coverage in their price range.
For employees, jobs where the employer offers health insurance and covers a large share of the premium are well worth it. Without an employer, you pay for private health insurance in the USA yourself, unless you qualify for the Premium Tax Credit, which lowers Marketplace premiums. It's also smart to check in advance whether you qualify for subsidies that offset the cost of coverage. Health savings accounts are another popular way in the US to pay for copays and deductibles.
If you're hit by a serious accident or illness, ask the hospital about a payment plan. Many hospitals offer discounts to people who can't get insurance. For an overview of medical care, see our page Health care in the USA; the differences between plan types are explained in HMO, PPO, POS & EPO, and how insurance fits into your move is covered in Health insurance when moving to the US.
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- In 2024, the USA spent $5.3 trillion on health: $15,474 per person and 18.0% of the economy.
- Through an employer, family coverage cost an average of $26,993 a year in 2025, and single coverage $9,325. Workers paid $6,850 and $1,440 of that.
- On the Marketplace without a subsidy, a 40-year-old pays between $456 (Bronze) and $615 (Gold) a month in 2026. The benchmark rose from $497 to $625.
- The enhanced ACA subsidies expired on January 1, 2026, and the 400 percent cap is back.
- Older adults pay no more than three times the premium of a 21-year-old.
How we help you
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